Commission hopes to prescribe new ways of taxing private cars

31 May 2017

As part of the highly-anticipated Mobility Package, the European Commission hopes to prescribe new ways to collect road taxes for Member States. The proposal announced today, notably, foresees a phasing out of vignette systems for passenger cars by 2027, a measure that has already been criticised by some of the eight Member States concerned. While the climate challenge should be addressed by the EU, FIA Region I is concerned that the text would simply increase the burden on private motorists, without significant improvements on environment side.

The draft text from the Commission includes passenger cars, in hopes that kilometre-based charging would incentivise cleaner mobility. It would further foresee an extensive list of what Member States could charge additionally, from congestion to externalities. Apart from the congestion charge and a very specific “mark-up” option, there is no mentioning of how Member States should invest the additional revenue created. When comparing the revenue from vehicle taxation to the amount spent on infrastructure in the EU, a recent CE Delft study found a surplus of 107 billion EUR for 2013 (link). FIA Region I encourages Member States to make the best use of the revenue that is already being collected for the optimisation of the road network.

“We are deeply concerned by this proposal becomes an extensive catalogue of justifications to raise taxes on motorists, with no real obligations to tackle the issues identified. The various options presented reflect the difficulty to regulate this matter, which should fundamentally be at the discretion of Member States. Many of the additional taxes to be proposed are based on highly questionable methodologies and will be very hard to understand for users. On behalf of road users, it is our duty to remind politicians that mobility has, not only costs, but also benefits to society as a whole.” said Laurianne Krid, Director General of FIA Region I.

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Notes to editors
In 2016, FIA Region I released the results of an extensive survey of the revenue and expenditure for road infrastructure. The study, carried out by CE Delft, showed that governments are making a major surplus on road transport revenue. In light of the income generated from taxes and charges on road transport, European motorists deserve a high-quality road. Rather than new or increased charging on road users, governments should look to revenue that is already available for funding the road network. Betterdeal4motorists.eu

About FIA Region I
The FIA Region I office, based in Brussels, is a consumer body representing 113 Motoring and Touring Clubs and their 38 million members from across Europe, the Middle East and Africa. The FIA represents the interest of these members as motorists, public transport users, pedestrians and tourists. The FIA’s primary goal is to secure a mobility that is safe, affordable, sustainable and efficient. With these aims in mind, FIA Region I’s work focuses on Road Safety, Consumer Protection, Environmental Protection, and the promotion of Sustainable Motoring. www.fiaregion1.com